Just a moment...

Top
Help
×

By creating an account you can:

Logo TaxTMI
Call Us / Help / Feedback

Contact Us At :

E-mail: [email protected]

Call / WhatsApp at: +91 99117 96707

For more information, Check Contact Us

FAQs :

To know Frequently Asked Questions, Check FAQs

Most Asked Video Tutorials :

For more tutorials, Check Video Tutorials

Submit Feedback/Suggestion :

Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters0/2000
Make Most of Text Search
  1. Checkout this video tutorial: How to search effectively on TaxTMI.
  2. Put words in double quotes for exact word search, eg: "income tax"
  3. Avoid noise words such as : 'and, of, the, a'
  4. Sort by Relevance to get the most relevant document.
  5. Press Enter to add multiple terms/multiple phrases, and then click on Search to Search.
  6. Text Search
  7. The system will try to fetch results that contains ALL your words.
  8. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
  9. Text Search
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
❮❮ Hide
Default View
Expand ❯❯
Close ✕
🔎 TMI Notes - Adv. Search
TEXT SEARCH:

Press 'Enter' to add multiple search terms. Rules for Better Search

Search In:
Main Text + AI Text
  • Main Text
  • Main Text + AI Text
  • AI Text
Law:
---- All Laws----
  • ---- All Laws----
  • Benami Property
  • Bill
  • Central Excise
  • Companies Law
  • Customs
  • DGFT
  • FEMA
  • GST
  • GST - States
  • IBC
  • Income Tax
  • Indian Laws
  • Money Laundering
  • SEBI
  • SEZ
  • Service Tax
  • VAT / Sales Tax
Types:
---- All Types ----
  • ---- All Types ----
  • Act Rules
  • Case Laws
  • Circulars
  • Manuals
  • News
  • Notifications
Sort By: ?
In Sort By 'Default', exact matches for text search are shown at the top, followed by the remaining results in their regular order.
RelevanceDefaultDate
    NotificationsIncome Tax
    Manner of disposal of application for advance ruling under Income Tax Act, 1961
    ManualsIncome Tax
    Computation of Turnover for the purpose of tax audit u/s 44AB - Speculation Business or Derivatives,...
    Act RulesIncome Tax
    Income deemed to accrue or arise in India - Section 9
    GST on offline/online games such as Rummy - game of skill versus game of chance - principle of nomen...
    Act RulesIncome Tax
    Current Repairs - ‘Nature & Treatment’ of expense
    Case LawsIncome Tax
    Addition u/s 69A - ambit of the word "owner" and "valuable article" for the purpose of additions as ...
    Act RulesMoney Laundering
    Role and Responsibilities of Reporting Entities under PMLA
    Act RulesMoney Laundering
    Reporting Entity under Prevention of Money Laundering Act, 2002 (PMLA)
    Case LawsIncome Tax
    Pharmaceutical companies’ gifting freebies to doctors, etc. - whether Allowable Business expenditu...
    Case LawsIncome Tax
    Impact of belated deposit of employees’ contribution towards the EPF and ESI under Income Tax
    NewsBills
    RATES OF INCOME-TAX for the PY 2022-23 i.e. AY 2023-24 [As per previous year Budget and comparison w...
    NewsBills
    TDS - Rates for deduction of income-tax at source during the financial year (FY) 2023- 24 from certa...
    NewsBills
    Rate of TDS on Salaries and Computation of Income for Advance Tax for FY 2023-24 / Assessment Year 2...
    NewsBills
    Rate of Income Tax - Individual, HUF, association of persons, body of individuals, artificial juridi...
    NewsBills
    Co-operative Societies - Rate of Income Tax
    NewsBills
    Firms – Rate of Income Tax on Firms / Partnership Firm
    NewsBills
    Local authorities - Rate of Income Tax
    NewsBills
    Companies – Rate of Income Tax / Corporate Tax
    NewsBills
    Income Tax - Rebate under section 87A
    NewsBills
    AMENDMENTS IN THE CGST ACT, 2017 and IGST Act, 2017
❯❯
MaximizeMaximizeMaximize
0 / 200
Expand Note
Add to Folder

No Folders have been created

    +

    Are you sure you want to delete "My most important" ?

    NOTE:

    Notes
    Showing Results for :
    Reset Filters
    Results Found:
    Show All SummariesHide All Summaries
    NotificationsIncome Tax
    Show AI Summary
    Majority decision with third member nomination resolves member disagreements in advance ruling panels, enabling electronic pronouncement and communication.
    Amendments to the e advance rulings Scheme require the Board for Advance Rulings to consider responses, provide an opportunity of being heard by video conferencing or video telephony, pronounce the advance ruling and send it to the applicant and relevant authority. If Members differ on any point, the Principal Chief Commissioner (International Taxation) will nominate a Member from another Board and the majority opinion, including the nominated Member, will prevail in deciding the disputed point or points.
    ManualsIncome Tax
    Show AI Summary
    Turnover computation for derivatives and speculation: include absolute differences and option premiums under tax audit rules.
    Turnover for tax audit purposes differs by transaction type: speculative transactions use the aggregate of realised favourable and unfavourable differences; derivatives, futures and options use the absolute total of favourable and unfavourable differences with option premium included unless already counted in net profit; reverse trade differences are included; delivery based transactions use total sales value as turnover.
    Act RulesIncome Tax
    Show AI Summary
    Income deemed to accrue in India when linked to an Indian business connection, property, services, or specified payments.
    Section 9 deems income arising outside India to accrue in India where it is derived directly or indirectly from a business connection in India, from property or a source of income in India, or from transfer of a capital asset situated in India. It also treats salary for services rendered in India, government-paid salary to Indian citizens for foreign services, dividends by Indian companies to non-residents, and specified interest, royalties and technical fees (subject to exceptions based on use outside India) as deemed to accrue in India. Gifts by residents to non-residents after 5 July 2019 are similarly deemed.
    Case LawsGST
    Show AI Summary
    Game of skill excludes gambling under GST; nomen juris applied to classify Rummy as skill based for tax purposes.
    The classification of Rummy under GST depends on whether skill predominates over chance; applying the principle of nomen juris, judicially established meanings of "gambling," "game of chance," and "game of skill" must be used. Rummy requires memorisation and strategic holding and discarding of cards and has been regarded as a game of skill. Consequently, the terms betting and gambling in the GST context should not be read to include games of skill, and selective reliance on stray judicial language to levy tax on such games is impermissible.
    Act RulesIncome Tax
    Show AI Summary
    Current repairs classification distinguishes capital expenditure from revenue deductions for building and machinery repairs under income tax rules.
    Classification of current repairs determines whether expenditures on buildings and on plant and machinery are revenue deductions or capitalised: enduring benefit or substantial enhancement is capital, while routine restorative or replacement outlays that merely maintain existing earning capacity are revenue; Sections 30 and 31 provide the statutory context for rent, rates, taxes, repairs and insurance for buildings and for machinery, plant and furniture.
    Case LawsIncome Tax
    Show AI Summary
    Ownership for unexplained articles must reflect real ownership rights, not mere carrier possession, to trigger tax implications.
    Section 69A applies only where the assessee can properly be regarded as the owner of the item and the item is an other valuable article; a carrier or bailee lacks ownership rights unless wrongful retention or misappropriation confers exclusive control akin to ownership, and an article qualifies as "valuable" by per unit marketability and premium price rather than aggregate value of ordinary low cost goods such as bitumen.
    Act RulesMoney Laundering
    Show AI Summary
    Reporting entity obligations require identity verification, enhanced due diligence and prescribed recordkeeping to support regulatory oversight.
    Reporting entities must verify client identity and beneficial ownership, perform enhanced due diligence on specified transactions including examining ownership, financial position and sources of funds, and record transaction purpose and intended relationship. They must maintain and furnish records in the prescribed manner for a prescribed retention period, respond to Director requests for records and information while maintaining confidentiality, and comply with rules on record maintenance and furnishing.
    Act RulesMoney Laundering
    Show AI Summary
    Reporting entity designation expands under PMLA, bringing new activities and professionals within AML obligations.
    The PMLA targets prevention of money laundering and confiscation of proceeds; money laundering encompasses concealment, possession, acquisition, use or projection of proceeds as untainted property through placement, layering and integration. A reporting entity-including banks, financial institutions, intermediaries and persons carrying on designated businesses or professions-is subject to AML obligations. Central Government notifications expand the definition of designated businesses to include specified professionals, real estate agents, dealers in precious metals, virtual digital asset service activities and provider functions such as company formation agents, nominee shareholders and registered office providers, with prescribed exclusions.
    Case LawsIncome Tax
    Show AI Summary
    Tax deduction denial for pharmaceutical freebies: expenses excluded under Explanation 1 to Section 37(1) as prohibited by law.
    Whether expenditures by pharmaceutical companies for distribution of incentives to medical practitioners are allowable under Section 37(1) depends on Explanation 1 to Section 37(1), which disallows deductions for purposes that are an offence or are prohibited by law; because medical ethics regulations prohibit doctors from accepting such freebies and attach punishments, donors' provision of those incentives is treated as participation in proscribed conduct and such expenses are not allowable as business deductions.
    Case LawsIncome Tax
    Show AI Summary
    Belated employees' contribution: deduction disallowed when not deposited by prescribed statutory due date; employer contribution treated differently.
    Non-deposit of employees' contribution within the due date prescribed under the respective provident/insurance statute results in disallowance of the employer's deduction, whereas employer contributions are subject to a separate payment-based rule that defers deduction until actual payment. The statutory scheme preserves distinct treatment: employee contributions must be credited by the statutory due date to qualify as deduction, while employer contributions may be allowed on a payment basis when actually paid.
    NewsBills
    Show AI Summary
    Optional personal tax regime clarified with default slab rules, restricted deductions, and surcharge plus cess implications.
    Existing special-rate provisions for companies and cooperative societies remain unchanged for AY 2023-24 while Part I of the First Schedule prescribes standard slab rates for other assessees; the optional personal tax regime permits eligible individuals and HUFs to elect alternative slab rates with disallowance of most deductions except specified allowances, procedural rules govern exercise and revocation of the option, and surcharge, marginal relief and a fixed health and education cess apply with specified caps and computation rules.
    NewsBills
    Show AI Summary
    TDS rates and surcharge framework for the fiscal year set; winnings from online games are subject to withholding at a specified rate.
    TDS rates for non-salary incomes for FY 2023-24 remain as in the prior schedule and apply under the specified withholding provisions; the schedule now also covers withholding on online gaming winnings at the rate set in the Bill. Prescribed section rates govern deduction. A multi-tier surcharge regime increases deducted tax by differing rates across taxpayer categories and income bands, with caps limiting surcharge on dividend and specified capital-gains income and an alternative-regime surcharge restriction. Health and Education Cess of four percent applies on tax including surcharge where applicable.
    NewsBills
    Show AI Summary
    TDS on salaries: prescribed deduction rates and advance-tax computation clarified, with limited change for incomes under section 115BAC.
    Part III of the Finance Bill prescribes rates for TDS on salaries and the computation of advance tax for the fiscal year, and those rates also apply when charging tax in provisional or accelerated assessments. The schedules apply across categories of taxpayers-individuals, cooperatives, firms, local authorities and companies-and the overall rate structure remains unchanged except for incomes governed by the alternative optional tax regime; the Bill also notes the continuing framework for tax rebate entitlement.
    NewsBills
    Show AI Summary
    New Default Tax Regime: revised slab rates apply for individuals and HUFs, with optional alternative regime and surcharge caps.
    Default tax rates under section 115BAC(1A) govern income-tax computation for individuals, HUFs, AOPs, BOIs and specified artificial juridical persons for FY 2023-24, with a progressive slab structure; taxpayers may opt under proposed section 115BAC(6) to instead be taxed under the alternative rates in Part III, which set different exemption limits for ordinary residents and senior citizens. The Bill includes a graduated surcharge regime for higher incomes, provides caps on surcharge where income includes dividends or specified capital gains, limits surcharge for AOPs consisting only of companies, and restricts surcharge rates for persons taxed under section 115BAC(1A); marginal relief is provided at surcharge thresholds.
    NewsBills
    Show AI Summary
    Co-operative society tax rates updated: surcharge tiers retained; new concessional options introduced for qualifying manufacturing societies.
    Co-operative societies will continue under the existing income-tax rate structure with a tiered surcharge framework for higher total income and marginal relief. Resident societies satisfying statutory conditions may opt for an optional reduced tax regime with a specified surcharge. Newly established manufacturing co-operative societies that commence production within a prescribed window and do not claim specified incentives may opt into a concessional tax regime for subsequent assessment years, subject to surcharge.
    NewsBills
    Show AI Summary
    Surcharge on firms applies beyond income threshold, with an upper cap limiting excess tax liability.
    The Finance Bill 2023 maintains the existing rate of income-tax for firms and imposes a surcharge on firms whose total income exceeds the statutory threshold; the surcharge is added to income-tax but is capped so that the total tax plus surcharge on income above the threshold does not exceed, by more than the excess income, the income-tax payable on income at the threshold level.
    NewsBills
    Show AI Summary
    Local authority income-tax rate retained, with a capped surcharge limiting additional liability above the income threshold.
    The Finance Bill maintains the existing specified income-tax rate for local authorities and imposes a surcharge on income-tax where total income exceeds a threshold; it caps the combined income-tax and surcharge liability so that the total payable on income above the threshold does not exceed the tax on the threshold amount by more than the excess income.
    NewsBills
    Show AI Summary
    Company tax rates revised with reduced options for eligible domestic firms, surcharge slabs retained and health and education cess applied.
    The Finance Bill 2023 sets primary corporate tax regimes: specified base rates for domestic companies depending on turnover and election into concessional regimes; optional lower-rate regimes remain available subject to conditions. Surcharge rates for domestic and non domestic companies persist at prescribed slabs with marginal relief provided for surcharge; a Health and Education Cess is levied on tax inclusive of surcharge without marginal relief. A new provision fixes its own tax rate while surcharge is applied according to taxpayer status.
    NewsBills
    Show AI Summary
    Rebate under section 87A expanded to raise the exempt-income threshold for resident individuals under the new tax regime.
    Rebate under section 87A grants a 100% rebate of income-tax payable to resident individuals whose total income does not exceed the specified threshold. From assessment year 2024-25 the rebate is extended to resident individuals whose income is chargeable under the proposed new tax regime provision (proposed sub section (1A) of section 115BAC), making them eligible for a full rebate where their total income falls within the revised threshold.
    NewsBills
    Show AI Summary
    GST Amendments broaden OIDAR taxability, impose statutory time limits for returns/statements, and decriminalise select offences.
    The Finance Bill amends the CGST Act to permit composition levy for suppliers transacting through electronic commerce operators, restrict input tax credit by treating specified Schedule III transactions as exempt-supply value and excluding CSR-related credits, clarify retrospective registration exemptions, impose statutory time limits (with conditional extensions) for furnishing outward-supply details, periodic and annual returns and monthly statements by e-commerce operators, introduce penal liability for E-commerce operators for unregistered/composition supplier contraventions, decriminalise certain offences and raise prosecution thresholds, and give retrospective non-supply treatment to specified Schedule III activities; IGST changes broaden OIDAR taxability and revise place-of-supply rules.

    TMI Notes

    Back

    All TMI Notes

    Showing Results for :
    Reset Filters
      No Records Found

      TMI Notes

      Back

      All TMI Notes

      whatsappJoin Channel
      Showing Results for : Reset Filters

      PRUNING AND REVIEW OF CUSTOMS DUTY CONCESSIONS/ EXEMPTIONS

      2 February, 2022

      Contents
      Plus +
      Summary
      Note

      Note

      -

      Bookmark

      Print

      Print

      IV. PRUNING AND REVIEW OF CUSTOMS DUTY CONCESSIONS/ EXEMPTIONS

      A. Review of concessional rates of BCD prescribed to Capital Goods and Project Imports vide notification No. 50/2017 – Customs dated 30.6.2017:

      The Customs duty rate structure on capital goods and project imports has been comprehensively reviewed and exemption on capital goods/ project imports are being phased out in a gradual manner. However, certain exemptions on capital goods would continue. Accordingly, the BCD exemption hitherto available on certain goods are being withdrawn by omitting the following entries of notification No. 50/2017Customs dated 30.6.2017, from the dates mentioned against each entry.

      S.No.

      S. No. of notification No. 50/2017

      Description/ HS Code

      (1)

      (2)

      (3)

      Textile Sector

      1.

      399 [exemption is being phased out as per details in column (3)]

      Goods (other than old and used) for use in man-made or synthetic fiber or yarn industry (84 or any other Chapter)

      1. Concessional BCD rate to be withdrawn for Spindles, Yarn guides, Ballon Control Rings and Travellers [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as Machinery for continuous polymerization plant, Machinery for synthetic fibre plant, Machinery for synthetic filament yarn plant, Machinery for Regular/HWM Viscose Staple Fibre Plant, Machinery for Lyocell Fiber Plant, in this entry [w.e.f 1.4.2023]

      2.

      400 [w.e.f 1.4.2023]

      Goods such as Machinery for garment sector, Machinery for manufacture of technical textiles, Woollen machinery items, Machinery for manufacture of non-wovens textiles, Machinery for manufacture of denim fabrics, Machinery for use with shuttleless looms etc. as specified in List 12 to the notification No. 50/2017-Customs, and parts for their manufacture for use in textiles industry

      3.

      432 [exemption is being phased out as per details in column (3)]

      Goods (other than old and used) for use in the textile industry

      1. Concessional BCD rate to be withdrawn for item no. 1, List 25: Effluent treatment unit with biopaq reactor, activate sludge process, activated carbon, ultrafiltration ozonisation facilities [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for item no. 3, List 25: Effluent treatment unit with automatic sensing devices, automatic controlled chemical dosing, dissolved air floatation (DAF), reverse osmosis, sludge dewatering, decanters, ultrafilters, vacuum filters to deliver water for reuse [w.e.f 1.4.2022]

      3. Concessional BCD rate to be withdrawn for the remaining items such as singeing machines, yarn drying machines, knitting machines etc., in this entry. [w.e.f 1.4.2023]

      4.

      433 [w.e.f 1.4.2022]

      Machinery or equipment for effluent treatment plant for handloom sector or handicraft sector

      5.

      434 [w.e.f 1.4.2023]

      Machinery for use in the silk textile industry

      6.

      460 [w.e.f 1.4.2023]

      Shuttle less looms and parts for their manufacture for use in the textile industry

      7.

      461 [exemption is being phased out as per details in column (3)]

      Machineries such as Knitting, weaving machines

      1. Concessional BCD rate to be withdrawn for Card Clothing (HS Code 8448 31 00) used in textile machinery i.e., Carding Machine [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items, such as machines for extruding, drawing, texturing, textiles machines, machines for preparing textile fibers, textile spinning machines, textile twisting machines, textile winding machines, weaving machines, knitting machines, auxiliary machines etc., in entry. [w.e.f 1.4.2023]

      Power Sector

      8.

      397 [exemption is being phased out as per details in column (3)]

      Goods specified in List 10 required for use in high voltage power transmission project

      1. Concessional BCD rate to be withdrawn for 13 items [List 10 in the notification] that include Transformers, Reactor, Circuit Breaker etc. [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as High Voltage DC Divider and CT, High Voltage DC Reactor, High TRV Circuit Breaker for High Voltage DC application, Optical Current Transformer etc. in this entry. [w.e.f 1.4.2023]

      9.

      405 [exemption is being phased out as per details in column (3)]

      Wind operated electricity generators, its parts and raw material, thereof

      1. Concessional BCD rate to be withdrawn for item No. (1) & (3) of this entry that include wind operated electricity generators (WOEG) upto 30 kW, wind operated battery chargers upto 30kW and blades for the rotors of WOEG [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items, such as parts of wind operated electricity generators including special bearings, gear box, yaw components, wind turbine controllers etc. and parts thereof and parts of blades, raw materials of blades etc. in this entry. [w.e.f 1.4.2023]

      10.

      406 [w.e.f 1.4.2023]

      Permanent magnets for manufacture of PM synchronous generators above 500KW for use in wind operated electricity generators

      11.

      413 [w.e.f 1.4.2022]

      All goods, for renovation or modernization of a power generation plant (other than captive power generation plant)

      12.

      414 [w.e.f 1.4.2022]

      All goods, imported by a manufacturer-supplier for the manufacture and supply of machinery and equipment to a power generation plant (other than captive power generation plant)

      Petroleum Sector

      13.

      403 [w.e.f 1.4.2023]

      Parts and raw materials for manufacture of goods to be supplied in connection with the purposes of off- shore oil exploration or exploitation

      14.

      409 [exemption is being phased out as per details in column (3)]

      Goods specified in List 13 required for setting up crude petroleum refinery

      1. Concessional BCD rate to be withdrawn for 11 items of List 13 that include utility systems, water treatment systems, air handling systems, boilers etc. [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as all types of Refinery Process Units, All types of Hydrogen Generation, Recovery and Purification Plants, All types of Process Subsystems, All types of Effluent Solids/Liquids/Gaseous Processing etc. in this S. No. [w.e.f 1.4.2023]

      15.

      410 [w.e.f 1.4.2022]

      Kits and its parts required for the conversion of motor- spirit or diesel driven vehicles into Compressed Natural Gas driven or Propane driven or Liquefied Petroleum Gas driven vehicles

      Leather Sector

      16.

      396 [w.e.f 1.4.2022]

      Machinery or equipment for effluent treatment plant for leather industry

      17.

      439 [w.e.f 1.4.2023]

      292 goods specified in List 27 to notification No. 50/2017Customs, designed for use in the leather industry or the footwear industry, like Air blast dust removing machine, Automatic Drying machine etc.

      Food Packaging Sector

      18.

      455 [w.e.f 1.4.2023]

      Machinery for filling, closing, sealing or labelling bottles, cans, boxes, bags or other containers

      19.

      458 [w.e.f 1.4.2023]

      Machinery for the industrial preparation or manufacture of food or drink, other than machinery for the extraction or preparation of animal or fixed vegetable fats or oils

      Other Sectors

      20.

      393 [w.e.f 1.4.2023]

      (i) Cricket bat and hockey stick splice joining machine

      (ii) Rugby ball or soccer ball stitching Machine

      (iii) Moulds for soccer ball, basketball and volley ball

      21.

      394 [w.e.f 1.4.2023]

      Bacteria removing clarifier

      22.

      395 [w.e.f 1.4.2023]

      Marine seawater pumps with fibre impellers and Automatic fish/prawn feeder

      23.

      407 [w.e.f 1.4.2023]

      Goods required for, -

      (a) the substitution of ozone depleting substances (ODS);

      (b) the setting up of new capacity with non – ODS technology.

      24.

      408 [w.e.f 1.4.2023]

      Goods required for renovation, modernization or maintenance of a fertilizer plant

      25.

      436 [w.e.f 1.4.2023]

      Spares, supplied with outboard motors for maintenance of such outboard motors

      26.

      440 [w.e.f 1.4.2023]

      Fogging machines imported by a Municipal Committee, District Board etc.

      27.

      443 [w.e.f 2.2.2022]

      Goods to be imported by or on behalf of security printing and minting corporation of India limited (SPMCIL) that include Plant or machinery or equipment, related spares and consumables for printing of banknotes, etc.

      28.

      444 [w.e.f 1.4.2023]

      Geothermal ground source heat pumps

      29.

      445 [w.e.f 1.4.2023]

      Goods for making of gem and jewellery –

      (1) Automatic Chain Making machine,

      (2) chain twisting machine,

      (3) Spiral making machine,

      (4) Rolling machine (combined Profile Groovers/Strip Making)

      (5) Automatic Investing Machine/casting Machine

      30.

      448 [w.e.f 1.4.2023]

      Specific agricultural implements and parts used for their manufacture that include paddy transplanter, sugarcane harvester, cotton picker etc.

      31.

      469 [w.e.f 1.4.2023]

      Atmospheric water generator

      32.

      470 [w.e.f 1.4.2023]

      Machinery for making wooden fiberboards

      Project Imports

      33.

      597, 598, 599, 600, 601, 602, 603, 604, 605, 606

      a. Project Imports for project such as

      (i) Power Projects, including Nuclear and Solar Power

      (ii) Coal Projects

      (iii) Gas Projects

      (iv) Iron Ore Projects

      (v) Water Supply Projects

      (vi) Mandi and Warehousing Projects for Food Grains

      (vii) Other Projects

      b. New projects registered after 30th September 2022 under project imports will attract 7.5% BCD rate with change in BCD Tariff rate to 7.5%.

      c. Existing projects registered till 30th September 2022 under project imports will be grandfathered till 30th September 2023 attracting old BCD rates of 0%/2.5%/5% as applicable.

      d. After 30th September 2023, all projects registered under project imports will attract 7.5% BCD rate.

      B. Review of concessional rates of BCD prescribed in notification No. 50/2017 – customs dated 30.06.2017: The BCD exemption hitherto available on certain goods are being withdrawn by omitting some of the entries of notification No. 50/2017Customs dated 30.6.2017 as shown below. Additionally, modifications have also been made with respect to some of the entries of notification No. 50/2017-Customs dated 30.6.2017, wherein end-dates have been prescribed, and partial changes has been made to the exemptions. These changes are detailed below.

      S. No.

      S. No. of notification No. 50/ 2017

      Description

       

      Entries to be immediately omitted

       

      1.

      4

      Atlantic Salmon

       

      2.

      26

      Hazelnuts or filberts, shelled and in-shell

       

      3.

      28

      Other nuts, shelled and in-shell

       

      4.

      33

      Durians, other fresh fruits like Pomegranates, Tamarind, Sapota, Custard- apple, Bore, Lichi, etc. other than currants and gooseberries

       

      5.

      50

      Seed Lac

       

      6.

      52

      Dammar Batu

       

      7.

      82

      Crude glycerin for use in the manufacture of soaps

       

      8.

      96

      Tapioca and substitutes therefor prepared from starch

       

      9.

      122

      Silica Sands

       

      10.

      124

      Marble, travertine, granite other than rough marble and travertine blocks and marble slabs

       

      11.

      151

      Kerosene imported by the Indian IOCL. BPCL, HPCL and IBP Company Limited for ultimate sale through the Public Distribution System

       

      12.

      159

      Bio-based asphalt sealer and preservation agent; Millings remover and crack filler; Asphalt remover and corrosion protectant; Sprayer system for bio-based Asphalt and condition no. 14

       

      13.

      171

      The goods specified in List 7, for the manufacture of laser and laser-based instrumentation and condition No. 17

       

      14.

      173

      Goods used in manufacture of telecommunication grade impregnated glass reinforcement roving, namely: E-glass roving/ yarn, liquid absorbent polymer, polyurethane polymer and vinyl polymer

       

      15.

      175

      Common Salt (including Rock salt, Sea salt and Table salt)

       

      16.

      187

      Raw materials intermediates and consumables supplied by UNICEF for manufacture of DTP vaccines and condition No. 19

       

      17.

      233

      Myrobalan fruit extract

       

      18.

      234

      Triband Phosphor

       

      19.

      235

      Ceramic Colours

       

      20.

      236

      Glass frit and other glass, in the form of powder, granules or flakes

       

      21.

      241

      Vinyl Polyethylene Glycol for use in manufacture of Poly Carboxylate Ether

       

      22.

      242

      The following goods for use in the manufacture of Plasma Volume Expanders, namely: Hydroxyethyl starch and Dextran

       

      23.

      277

      Mica glass tape for use in manufacture of insulated wire and cables

       

      24.

      293

      Grape guard paper (paper used for packaging grapes)

       

      25.

      324

      Monofilament long line system for tuna fishing and condition No. 34

       

      26.

      327

      Samples of hand knotted carpets and condition No. 36

       

      27.

      328

      Polyester Tyre Cord Fabric

       

      28.

      332

      Parts of Umbrella

       

      29.

      216 & 481

      Artificial Kidney (Dialyzer)

       

      30.

      216A & 481A

      Parts for manufacture of Artificial Kidney

       

      31.

      402

      Goods, for use in the manufacture of static converters of automatic data processing machines: PCBA, Transformer, Battery and Copper enameled wires

       

      32.

      424

      Listed goods for paging goods and its parts

       

      33.

      425

      Listed goods for Public Mobile Radio Trunked Service (PMRTS) and its parts

       

      34.

      431

      Goods used for Research and development in Agro-Chemical Sector Unit

       

      35.

      449

      Goods for use in the manufacture of refrigerator compressor namely: -

      (i) C-Block compressor;

      (ii) Crankshafts.

       

      36.

      450

      Over Load Protector (OLP) and positive thermal coefficient for use in the manufacture of refrigerator compressor

       

      37.

      501

      Recorded magnetic tapes and floppy diskettes, imported by the University Grants Commission for use in Computers

       

      38.

      588

      Synthetic tracks and equipment to lay synthetic tracks.

       

      39.

      589

      (i) Asphalt resurfacer;

      (ii) Acrylic resurfacer;

      (iii) Cushion coat;

      (iv) Acrylic colour concentrate;

      (v) Acrylic marking paint; and

      (vi) Polytan in powder or granule form

       

      40.

      590

      Requisites for games and sports

       

      Entries where End-dates are prescribed

       

      41.

      289

      Wood in chips for use in manufacture of paper, paperboard & newsprint [End-date of 31.03.2023 is prescribed]

       

      42.

      430

      Goods used for Research and Development purpose in pharmaceutical and bio- technology sector. [End-date of 31.03.2023 is prescribed]

       

      43.

      479

      Mono or Bi polar Membrane electrolysers and parts; Membrane and parts; Parts, other than those for caustic soda unit or caustic potash unit [End-date of 31.03.2024 is prescribed]

       

      44.

      594

      Snow-skis and other snow-ski Equipment; Water-skis, surfboards, sailboards and other water-sport equipment [End-date of 31.03.2023 is prescribed]

       

      Section 25 (4A) of the Customs Act, inserted vide Finance Act, 2021, prescribes that where any exemption is granted subject to any condition under sub section (1), such exemption shall, unless otherwise specified or varied or rescinded, be valid up to 31st day of March falling immediately after two years from the date of such grant or variation. Accordingly, conditional exemptions will have validity in terms of this subsection. Therefore, entry being impacted on account of this clause have been identified and an explanation has been inserted in the notification No. 50 /2017-Customs.

      [“Explanation: Under the provisions of subsection (4A) of section 25 of the Customs Act, 1962, it is hereby specified that the conditional exemptions granted under the S. Nos. of the Table to the notification, mentioned under column (2) of the Table below, for which period of validity is not specified otherwise, shall unless varied or rescinded, be valid up to the date mentioned in the corresponding entry in column (3) of the said Table. ….” ]

       

      The following entries, unless varied, will have validity up to 31.03.2023.

       

      45.

      16, 90, 133, 139, 150, 155, 164, 165, 168, 183, 184, 188, 204, 213, 237, 238, 253, 254, 255, 258, 259, 260, 261, 269, 271, 276, 277A, 279, 280, 325, 333, 334, 339, 340, 341, 341A, 353, 364A, 374, 375, 378, 379, 380, 381, 387, 392, 415, 415A, 416, 417, 418, 419, 420, 421, 426, 428, 429, 441, 462, 463, 464, 471, 472, 475, 478, 482, 489B, 495, 497, 504, 509, 510, 511, 512, 512A, 516, 519, 534, 535, 535A, 536, 538, 540, 542, 543, 544, 546, 549, 550, 559, 565, 566, 567, 568, 570, 575, 577, 578A, 579, 580, 581, 583, 593, 612

       

      The following entries [having been reviewed in this exercise done this year], unless varied, will have validity up to 31.03.2024.

       

      46.

      17, 80A, 104, 172, 191, 257, 257A, 257B, 257C, 264A, 290, 292, 293A, 296A, 326, 329, 345A, 354, 355, 356, 357, 422, 423, 442, 446, 451, 465, 517, 591

       

      Entries omitted being in the nature of technical change

       

      47.

      31

      Dried Grapes (Raisins, Other)

       

      48.

      161

      Electrical Energy originating from Nepal and Bhutan

       

      49.

      192

      Alkyl esters of long chain fatty acids obtained from vegetable oils, commonly known as bio- diesels

       

      50.

      215

      The Blood group sera, namely: -Anti C., anti E., anti c., anti e., anti M., anti N., anti Le., anti-Pl., anti S., antihuman globulin sera, anti F., anti kell, anti cellane, anti Jka., and anti I

       

      51.

      224

      Potassium Nitrate, in a form indicative of its use for manurial purpose

       

      52.

      248

      Dipping oil, Paclobutrazol (Cultar)

       

      53.

      466

      Parts/ sub-parts, components or accessories for use in the manufacture of tablet computer.

       

      54.

      485

      Deflection components for use in colour monitors for computers or for use in PCBs of colour monitors for computers

      55.

      496

      Stepper Motors for use in the manufacture of goods falling under heading 8471

      56.

      505

      Parts of Set-top box for use in its manufacture

      57.

      506

      Parts/sub-parts, components for use in manufacture of broadband modem Other than PCBA, charger.

      58.

      507

      Parts/ sub-parts, components and accessories for use in manufacture of routers other than PCBA, charger.

      59.

      508

      Parts/ sub-parts, components and accessories for use in manufacture of set top boxes for gaining access to internet other than PCBA, charger.

      Entries with partial changes

      60.

      15

      Frozen Semen and Frozen semen equipment

      [Exemption to continue only for bovine semen]

      61.

      104

      List of specified goods used in the processing of sea-foods

      [Exemption to continue for selected items and accordingly, exemption has been continued for 16 items and 4 new items has been added to the list]

      62.

      132

      List A items:

      1. Aluminous cement

      2. Silicon metal (99%)

      3. Micro/fumed silica

      4. Brown fused alumina

      5. Sintered/tabular alumina

      6. Fused zirconia

      7. Sodium hexameta phosphate

      8. Silicon carbide

      9. Boron carbide

      10. Reactive alumina

      11. Fused silica; and List B items: Phenolic resin

      [Exemption to continue for list A with end-date of 31.03.2023 and discontinue for list B immediately]

      63.

      166

      (A) Drugs, medicines, diagnostic kits or equipment specified in List 3.

      (B) Bulk drugs used in the manufacture of drugs or medicines at (A)

      [Exemptions under List-3 is being rationalized]

      Note: Items included in List 3 under S. No. 166 provides for a conditional concessional rate of 5% on the imports of drugs, medicines, diagnostic kits, etc. along with bulk drugs used in the manufacture of such drugs or medicines. The items in the said list has been reviewed. Accordingly, 35 items have been removed from the List and 1 item [influenza vaccine] in the List would be omitted after 18 months. For further details, please refer to notification No. 02/2022 – Customs dated the 1st February, 2022.

      64.

      167

      (A) Lifesaving drugs/medicines including their salts and esters and diagnostic test kits specified in List 4.

      (B) Bulk drugs used in the manufacture of drugs or medicines at (A).

      [Exemptions under List-4 is being rationalized in the manner as detailed in the Note at S. No. 63 above; Entry at S. No. 167 (C) has been omitted as a similar exemption is available under S. No. 607 (b) of notification No. 50/2017 – Customs]

      Note: Items included in List 4 under S. No. 167 provides for customs duty exemption on the imports of Lifesaving drugs/medicines, diagnostic kits, etc. along with bulk drugs used in the manufacture of such goods. The items in the said list has been reviewed. Accordingly, 3 items in List 4 [Diagnostic agent for detection of Hepatitis B antigen, Diagnostic kits for detection of HIV antibodies, Enzyme Linked Immuno absorbent Assay kits (ELISA kits)] have been transferred to List 3, 2 bulk drugs [bulk drug substance for poliomyelitis vaccine (inactivated and live) and Monocomponent Insulin] that are currently included in List 4 would be transferred to List 3 after 2-3 years, and 36 items from List 4 have been omitted. For further details, please refer to notification No. 02/2022 – Customs dated the 1st February, 2022.

      65.

      404

      Goods required in connection with Petroleum operations.

      [Rationalization of the exemption provided for goods used in petroleum operations as specified in List 33 under S. No. 404, and simplification of the associated condition no. 48 for availing such exemption and disposal of such goods]

      Note: A definition has been provided for a licensee, lessee, contractor or sub-contractor for the purpose of this entry. Also, the requirement of producing a certificate from Directorate General of Hydrocarbons (DGH) for import or each transaction under this entry has been dispensed with. Further, the list of items falling under List 33 has been pruned down and have been made more specific by prescribing the concerned HS Codes.

      66.

      513

      Parts or components for use in manufacture of populated printed circuit board of various telecom and electronics related products, and its sub-parts.

      [Exemption to continue for Digital Video Recorder(DVR)/Network Video Recorder(NVR) falling under tariff item 8521 90 90; CCTV Camera/IP Camera falling under tariff item 8525 20 80; Reception apparatus for television but not designed to incorporate a video display falling under tariff item 85287100]

      C. Customs duty exemptions which have been granted through certain other standalone notifications, have also been reviewed:

      S.No.

      Notification No.

      Amendment

      I. The following notifications have been modified in the manner as detailed below:

      1.

      39/1996-Customs dated 23.07.1996

      This notification prescribes concessional rate of customs duty on items relating to Defence and internal security forces. Upon review of exemption, entries under S. Nos. 14, 15, 17, 18, 19, 24, 29, 30, 31, 31A, 31B, 32, 33, 35, 36, 38, 39, 40, 41, 42, 43 have been omitted.

      [Sunset date of 31.03.2023 has been prescribed for the remaining entries as per Section 25(4A) of the Customs Act, 1962]

      2.

      25/1999-Customs dated 28.02.1999

      This notification prescribes concessional rate of customs duty on items relating to import of raw materials and parts for use in manufacture of electronic items.

      Upon review of exemption, it has been pruned to remove redundant exemption entries and exemptions related to obsolete items and accordingly, more than 125 entries have been omitted.

      [Sunset date of 31.03.2024 been applied for the remaining entries]

      3.

      25/2002-Customs dated 01.03.2002

      This notification prescribes concessional rate of customs duty on import of items relating to capital goods used in manufacture of electronic items. [Sunset date of 31.03.2024 been applied for the all entries]

      4.

      27/2011-Customs dated 01.03.2011

      This notification prescribes concessional rate of customs duty on export of goods. Upon review of the exemption, the entries under S. Nos. 20B, 63 and 64 have been omitted as these entries have become obsolete.

      5.

      37/2017-Customs dated 30.06.2017

      This notification prescribes concessional rate of customs duty on import of items relating to internal security agencies. Upon review of exemption entries, the entries under S. Nos. 6 and 7 have been omitted as their validity has expired.

      II. The following obsolete/expired notifications have been rescinded as detailed below:

      S.No.

      Notification No.

      Description

      1.

      190/1978-Customs dated 22.09.1978

      These notification provides for additional duty of customs on import of transformer oil equivalent to such portion of the excise duty leviable on the raw material commonly known as transformer oil base stock or transformer oil feedstock.

      2.

      191/1978-Customs dated 22.09.1978

      3.

      10/1995-Customs dated 7.3.1995

      This notification prescribes concessional rate of customs duty on import inputs imported for manufacturing of Iron & Steel intermediates.

      4.

      26/1999-Customs dated 28.2.1999

      This notification prescribes concessional rate of basic customs duty on import of kerosene imported by a manufacturer of linear alkyl benzene for extracting N-Paraffin.

      5.

      27/2004-Customs dated 23.01.2004

      This notification prescribes concessional rate of customs duty on import of specified goods imported for use in manufacture of certain chemicals.

      6.

      14/2006-Customs dated 01.03.2006

      This notification prescribes concessional rate of customs duty on import of specified varieties of woven fabrics falling under Chapters 52, 54, 55 and 58.

      The entries of this notification have been merged in notification No. 82/2017-Customs.

      7.

      48/2006-Customs dated 26.05.2006

      This notification prescribes concessional rate of customs duty on import of woven fabrics of carded/combed wool or fine animal hair. The entries of this notification have been merged in notification No. 82/2017-Customs.

      8.

      90/2007-Customs dated 26.07.2007

      This notification prescribes concessional rate of additional duty of customs on import of items related to Electronics and Information Technology goods.

      9.

      08/2011-Customs dated 14.02.2011

      This notification prescribes exemption from the whole of the additional duty of customs, leviable thereon under subsection (1) of section 3 of the said Customs Tariff Act, on jute products imported from Bangladesh or Nepal.

      The notification has been rescinded as post introduction of GST, the jute products attract integrated tax on imports.

      10.

      24/2011-Customs dated 1.03.2011

      This notification exempts Basic Customs Duty on copper concentrate as is equivalent to the duty of customs leviable on the value of Gold and silver contained in such copper concentrate.

      11.

      49/2013-Customs dated 29.11.2013

      This notification prescribed concessional rate of customs duty on import of Anti-Tuberculosis Drugs, Diagnostics and Equipment and had lapsed on 1st April, 2016.

      12.

      23/2014-Customs dated 11.07.2014

      This notification prescribed concessional rate of customs duty on import of Drugs & equipment imported for National AIDS Control Programme and had lapsed on 1st April, 2015.

      13.

      37/2015-Customs dated 10.06.2015

      This notification prescribed concessional rate of customs duty on import of Anti-Retroviral Drugs (ARV Drugs) and had lapsed on 1st April, 2016.

      14.

      11/2016-Customs dated 01.03.2016

      This notification prescribes concessional rate of customs duty on import of software recorded media.

      15.

      20/2020-Customs dated 9.04.2020

      This notification prescribes concessional rate of customs duty on import of Face Masks, Surgical Masks, Ventilators, COVID-19 Testing Kits, etc. and had lapsed on 30th September, 2020.

      16.

      40/2020-Customs dated 28.10.2020

      This notification prescribes concessional rate of customs duty on import of Potatoes under Tariff Rate Quota (TRQ) and had lapsed on 31st January, 2021.

      D. Inclusion of End-date as per Section 25(4A) of the Customs Act, 1962, in certain stand-alone notifications:

      S.No.

      Notification No./ Entry of the notification No.

      Amendment

      1.

      146/94-Customs dated 13.07.1994

      This notification prescribes concessional rate of customs duty on specified sports goods, equipment and requisites imported by National Sports Federation

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      2.

      147/94-Customs dated 13.07.1994

      This notification prescribes concessional rate of customs duty on exemption to Fire arms and ammunition for renowned shot

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      3.

      50/96-Customs dated 23.07.1996

      This notification prescribes concessional rate of customs duty on equipment, instrument, raw materials, components, pilot plants, computer software for R&D project

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      4.

      30/2004-Customs dated 28.01.2004

      This notification prescribes concessional rate of customs duty on import of second hand computers as donation

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      5.

      81/2005-Customs dated 08.09.2005

      This notification prescribes concessional rate of customs duty on machinery/components for initial setting up of power generation project

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      6.

      5/2017-Customs dated 02.02.2017

      This notification prescribes concessional rate of customs duty on machinery, equipment, apparatus, components and appliances for initial setting up of fuel cell based system for generation of power

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      7.

      16/2017-Customs dated 20.04.2017

      This notification prescribes concessional rate of customs duty on specified drugs and medicines supplied free of cost to patients

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      8.

      Serial No. 2 of 32/2017-Customs dated 30.06.2017

      This notification prescribes concessional rate of customs duty on art work created abroad by Indian artist and sculptures, antique books more than 100-year-old.

      [The entry, unless varied or rescinded, will have validity up to 31.03.2023.]

       


      Full Text:

      Budget 2022-23 + FINANCE Bill, 2022

      Topics

      ActsIncome Tax